Zelda Therapeutics investing in medicinal cannabis oral spray

Zelda Therapeutics Ltd (ASX:ZLD) has entered an agreement with SUDA Pharmaceuticals Ltd (ASX:SUD) to develop a medicinal cannabis oral spray.

Under the feasibility and option agreement, SUDA will optimise its OroMist® oro-mucosal spray technology to deliver Zelda’s pharmaceutical-grade cannabis formulations across a 12-month work plan.

If successful, a 24-month option gives Zelda the right to negotiate an exclusive license over SUDA’s OroMist® technology for defined indications.

READ: Zelda Therapeutics partners with St Vincent’s Hospital for opioid reduction study

Zelda’s managing director Dr Richard Hopkins said: “Our aim is to improve upon existing market-approved oral-mucosal formulations that have proven very effective for delivering cannabis medicines in patients.

“This agreement provides Zelda with an option to license a proprietary technology for oral-mucosal delivery of medicinal cannabis. Having access to proprietary technologies strengthens our competitive position and helps accelerate our path to commercialisation.”

SUDA ’s managing director Stephen Carter added: “We are delighted to be working with Zelda on this project. We believe our technology can offer unique advantages compared to other routes of administration for delivering medicinal cannabis.”

Zelda will pay $300,000 up front to SUDA

Zelda will pay SUDA an option fee of $200,000 consisting of an upfront payment of $100,000 and a further $100,000 in downstream milestone payments.

The company will also fund SUDA’s pre-agreed project expenditure.

Clinical trials are still at the centre of Zelda’s operations

Story by ProactiveInvestors